I’m facing an issue here.
For Facebook debugging reasons, I made a host entry in my hosts file which looks like this:
127.0.0.1 local.fablelane.com
The error
Now, when I try to load the IIS Express server, I get an error 400 (Bad Request), which looks like this in Chrome.

Settings
My Visual Studio 11 settings are as follows.

Edit 1
It should be noted that when I enter “localhost:2000” in the browser, it works just fine.
Edit 2
If I change the project URL to “http://local.fablelane.com:2000/“, the following error-message pops up. I am running Visual Studio 11 as an administrator by the way.

The reason it is not working is that your site listens on the IP 127.0.0.1, but only for hostname ‘localhost’.
You can set your ‘Project Url’ to ‘http://local.fablelane.com:2000’. Also, I see no reason for ‘Override application root URL’ to be checked.
Or you could host in IIS instead of IIS Express and bind several hostnames for this site (so both localhost and local.fablelane.com would work). You can find more information about that here.